The average cost of disability insurance

Disability insurance can be purchased as a personal policy or provided by an employer as part of the group insurance plan. The cost may vary depending on many factors, including the elimination period, the time of benefit, the age of an individual, its occupation class and the number of subsidies.

Personal expenses

Individual buyers policy disabilities may pay about 1 percent to 3 percent of their annual salary. This means that an individual has an annual salary of $50.000 can be charged from $500 to $1.500 per year. The benefits offered typically constitute about 60 percent of an individual's salary per year. However, insurance companies usually offer discounts that can be used to reduce the cost of the policy.

Discounts

The insurance company has a variety of discounts that can be applied to the disability's income insurance policy. For example, the landlord can choose a longer wait time before the payment is paid. The insurance company can also discount when more than one policy has been purchased or is in effect. Discounts can also be applied to a policy when a shorter benefit period is selected.

Spend stairs

One of the biggest factors used to determine how much an individual will pay for disability insurance is her monthly expenses. This usually includes everything a personal spending of living and including rent, mortgage payments, grocery stores, phone bills, gas and other bills. The total monthly cost affects the number of selected coverage, thereby affecting the cost of the policy.

Annual inflation

Inflation grows annually and can be calculated at the expense of the policy. The most common measure of inflation is the consumer price index. Individuals who choose short-term disability policies are not really affected, but if an individual is disabled for a long time, the rate of inflation forecast will be considered.

Additional options

Disability insurance comes with additional options or motorists that can affect costs. An example is alive cost racer. This can increase insurance costs from 20 percent to 40 percent but will pay the annual benefits increased when an individual is disabled.